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Purchase Requisition

A document that initiates the purchase of goods or services, usually submitted by a department or employee within a company.

A purchase requisition is a document used to initiate the purchase of goods or services within a company. It is usually created and submitted by a department or employee within the company who has identified a need for goods or services that are not currently available.

The purchase requisition includes important information such as the type and quantity of goods or services needed, the desired delivery date, and any other special requirements. The document may also include information about the budget or cost center that will be charged for the purchase.

Once the purchase requisition has been created and approved by the appropriate parties within the company, it is typically forwarded to the purchasing department for further processing. The purchasing department is responsible for selecting the appropriate vendor, negotiating the price and terms of the purchase, and placing the order.

Purchase requisitions are an important part of the purchasing process, as they help to ensure that the company's purchasing activities are conducted in a controlled and organized manner. By requiring department or employee approval before purchases can be made, the company can maintain greater control over its spending and ensure that purchases are made only when they are necessary and within budget.

Overall, purchase requisitions are a critical component of effective purchasing management, helping companies to control costs and ensure that they are obtaining the goods and services they need in a timely and efficient manner.